Introduction to Condo Bill
A key Senate committee gave initial approval to a measure that would build on laws requiring safety inspections of older condominium buildings and adequate financial reserves for repairs. The bill (SB 1742) is aimed at “providing condo owners a smoother, more flexible financial path forward without compromising safety,” Senate Regulated Industries Chairwoman Jennifer Bradley, R-Fleming Island, said before her committee unanimously approved the measure.
Background of the Bill
The laws were enacted in response to the 2021 collapse of the Champlain Towers South condominium building in Surfside that killed 98 people. The laws, initially passed in 2022 and tweaked in 2023, require “milestone inspections” of older buildings and “structural integrity reserve” studies to determine how much money should be set aside for future major repairs.
Milestone inspections were supposed to be completed by Dec. 31 for certain older buildings that are three stories or higher. Some condo associations hit owners with large assessments in the race to comply with the deadline. Assessments are in addition to homeowners’ regular association fees.
Purpose of the Bill
Bradley has said her bill is aimed at addressing issues brought up by condo owners hit with significant increases in assessments. But Bradley, who was instrumental in passing the recent laws, also has said condo boards and companies that are performing the evaluations often include non-structural items — such as beautification projects — on the reports that don’t affect building safety.
Key Provisions of the Bill
The bill would require state regulators to design a form to be used for inspections that outlines specific items mandated by the laws. It also would lead to setting up a statewide database of buildings that are subject to the inspection requirements and would require the University of Florida to create a report of the buildings. The bill, in part, would allow associations to pause and reduce reserve funding for up to two years after milestone reports. It also would set up a process that would allow condo boards to invest funds set aside for future repairs.
Impact on Condo Owners
“Each of these options ensures that milestones are completed, buildings are safe, while providing more flexibility to fund reserves and maintain transparency for owners and buyers,” Bradley said of the bill. In addition to costs related to the laws passed after the Surfside collapse, condo associations also have been hit in recent years with higher property-insurance costs. Legislative leaders have argued that many condo buildings are in need of critical upgrades but that associations had inadequate reserves to cover repairs.
Comparison with House Version
The Senate proposal varies from a House version. As an example, part of the House bill (HB 931) would prohibit the state’s Citizens Property Insurance Corp. from issuing or renewing coverage for condos or condo associations if the associations do not comply with the inspection requirements. “There’s sort of different visions right now. That doesn’t mean we can’t find overlap. But right now, the Senate bill is really exploring all the mechanisms that we could implement that would not compromise safety,” Bradley told reporters after Tuesday’s meeting.
Conclusion
The bill is a step towards providing condo owners with a more flexible financial path forward without compromising safety. The Senate committee’s approval of the measure is a significant milestone, and it will be interesting to see how the bill progresses through the legislative process. With the bill’s focus on providing more flexibility to fund reserves and maintain transparency for owners and buyers, it is likely to have a positive impact on condo owners across the state.
FAQs
Q: What is the purpose of the bill?
A: The bill is aimed at providing condo owners a smoother, more flexible financial path forward without compromising safety.
Q: What are the key provisions of the bill?
A: The bill would require state regulators to design a form for inspections, set up a statewide database of buildings, and allow associations to pause and reduce reserve funding for up to two years after milestone reports.
Q: How does the Senate proposal vary from the House version?
A: The Senate proposal varies from the House version, which would prohibit the state’s Citizens Property Insurance Corp. from issuing or renewing coverage for condos or condo associations if the associations do not comply with the inspection requirements.
Q: What is the current status of the bill?
A: The bill has been unanimously approved by the Senate Regulated Industries Committee.
Q: When was the bill published?
A: Originally Published: March 26, 2025 at 7:58 AM EDT
